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Contribution of Agricultural Industry Towards Growth Rate of Gross Domestic Product of Pakistan

Safdar Husain Tahir, Muhammad Anwer Iqbal, Muhammad Rizwan Ullah, Muhammad Irshad Arshad, Muhammad Ali Tarar, Noreen Akhter, Naima Nawaz, Allah Bakhsh Gulshan, Khuloos Ahmad Minhas, Muhammad shahbaz


The aim of the study was to investigate the contribution of agricultural sectors towards growth rate of gross domestic product (GDP) of Pakistan. The data ranged from 1996 to 2015 were used to achieve the objectives of the study. The Augmented Dickey Fuller test was applied to examine the stationarity of data and multiple regression models were used to check the impact of agricultural sector on GDP. The results revealed that agriculture sector significantly contributed towards GDP growth rate. One percent increase in the agriculture sector caused 5.56 percent increase in the growth of GDP. Agricultural crops like cotton (Gossypium hirsutum), sugarcane (Saccharum officinarum), maize (Zea mays), Lentil/masoor (Lens culinaris), mung bean (Vigna radiate), onion (Allium cepa) and chilies (Capsicum annuam) and subsector livestock significantly contributed to GDP. Other independent variables rice (Oryza sativa), wheat (Triticum aestivum), mash (Vigna mungo), potato (Solanum tuberosum) and subsectors forestry and fishery had not significant contribution in the GDP growth rate.


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